Benzinga | Dec 22, 2020 08:01AM EST

PolarityTE Announces $8M Registered Direct Offering Priced At-The-Market Under Nasdaq Rules

PolarityTE, Inc. (NASDAQ:PTE), a company focused on transforming the lives of patients by discovering, designing, and developing a range of regenerative tissue products and biomaterials, announced today that it has entered into a securities purchase agreement with a single healthcare-dedicated institutional investor providing for the purchase and sale of 10,688,043 shares of its common stock (or pre-funded warrants to purchase common stock in lieu thereof) and accompanying warrants to purchase up to 10,688,043 shares of common stock. Each share of common stock (or pre-funded warrant in lieu thereof) is being sold together with one warrant to purchase one share of common stock at a combined purchase price of $0.7485. The securities are being offered in a registered direct offering priced at-the-market under Nasdaq rules. The warrants will be immediately exercisable at an exercise price of $0.624 per share of common stock and will expire five years from the date of issuance. The shares of common stock or the pre-funded warrants, and the accompanying warrants, can only be purchased together in the offering but will be issued separately and will be immediately separable upon issuance.

H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.

The offering is expected to result in gross proceeds to PolarityTE of approximately $8.0 million before deducting placement agent and other offering expenses payable by PolarityTE. The Company intends to use the net proceeds of this offering for working capital and general corporate purposes.

The registered direct offering is expected to close on or about December 24, 2020, subject to the satisfaction of customary closing conditions.